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Independent sales organizations in the United States and international markets bolstered Global Payments Inc.'s revenue for the second quarter ended Nov. 30, the company announced late Tuesday, despite a U.S. recession and global economic uncertainty. Though Global Payments is not immune to such changes, a number of factors are helping the company, Paul R. Garcia, Global Payments chairman and CEO, told analysts during conference call yesterday. Specifically, consumers overall are making more card-based payments globally, "and we will continue to benefit from that shift." Garcia says international markets are performing well for the company, and Global Payments continues to look for international acquisitions. It expects its $120 million deal to buy United Card Service, a Russian Federation merchant acquirer, to close by June 30 (CardLine, 9/9/08). Garcia sees a lot potential in China, India and Russia, he told analysts. "While these are small markets to us today, we are laying the foundation for solid businesses, which will drive long-term growth," he said. Within the United States, Global Payments continues to see growth from its ISOs. While ISOs are not seeing the same transaction growth as they did before the economy went sour, "they've still had a very strong impact on the business that … helps propel pretty impressive numbers for this time of year, for this [economic] situation," James G. Kelly, Global president and chief operating officer, told analysts.
